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« New Media Monday - 04/16/2007 | Main | I don't need one of these.... »

Apple (for once) gives more than our money's worth
Robert X. Cringely

Apple yesterday showed its willing to lose money to capture the pro-video market. Anyone paying attention to what Apple purchased in the past couple of years, to get the technology in Final Cut Server and the new “Color” software knows Apple is giving that stuff away.  In the case of “Color” a piece of software that from Silicon Color (the company Apple purchased) would have cost five figures....yesterday got rolled in the NEW Final Cut Studio for FREE.  With 80,000 users of FCP at the professional (paid) level there is no way the company can make it up in volume, which means their aim is pure market share.  Apple intends to OWN that market.

This is really quite similar to Apple's early dominance of the education market, which was in the era of Steve 1.0.  Apple gave computers to schools and thereby bought to the loyalty of future customers when they entered the workplace or became home computer buyers.  Now Apple has targeted media creation in the same way.  Apple-end-to-end is the theme and in this case they really DO have both ends covered with products like Apple TV, iPod, iPhone, and their successors.





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Comments

1. Posted by: howlongtoretire on April 16, 2007 9:02 PM:

Bob, Apple says 800,000 FCP users not 80,000. Pretty substantial so I thought I'd point it out.




2. Posted by: Bob Cringely on April 16, 2007 9:31 PM:

Apple says 800,000 FCP users and I say 80,000 FCP PROFESSIONAL users. Most FCP users do not make their living from the software. By the way, my 80,000 figure also came from Apple.





3. Posted by: Sebhelyesfarku on April 17, 2007 4:41 AM:

Sounds like Microsoft. Giving away to get market share.




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